SXG Confirms New 135-Metre-Wide Gold-Antimony Discovery Below the Golden Dyke Historic Mine
1305 – 1090 West Georgia Street, Vancouver, BC, V6E 3V7
Phone: +1 604 685 9316 / Fax: +1 604 683 1585
NEWS RELEASE September 5, 2024
SXG Confirms New 135-Metre-Wide Gold-Antimony Discovery Below the Golden
Dyke Historic Mine
Includes 11.9 m @ 5.3 g/t AuEq, 12.6 m @ 8.0 g/t AuEq and 8.7 m @ 4.6 g/t AuEq
Vancouver, Canada — Mawson Gold Limited (“Mawson” or the “Company”) (TSX V:MAW)
(Frankfurt:MXR) (PINKSHEETS: MWSNF) announces Southern Cross Gold Ltd. (“Southern Cross Gold” or
“SXG”) has released a new and large gold-antimony discovery drilled 100 m – 150 m below the largest historic
mine at the 100%-owned Sunday Creek Gold-Antimony Project in Victoria, Australia (Figure 5).
Highlights:
• SDDSC130, reported here, shows the development of a third large, mineralized body developing
beneath the most prolific historic mine at Sunday Creek . The new discovery is located 260 m
and 600 m west, respectively of the Rising Sun and Apollo mineralized bodies modelled in the Company’s
January 2024 Exploration Target.
• SDDSC130 drilled seven high- grade vein sets over a 230 m down hole interval (135 m
estimated true width (“ETW”) below the most productive Golden Dyke historic mining area at
Sunday Creek. The hole included ten occurrences of visible gold , nine assayed intervals of > 20
g/t Au (up to 124 g/t Au) and ten assayed intervals of > 5% Sb (up to 31.5% Sb).
• Broad downhole intercepts (no lower cut) included 214.4 m @ 1.3 g/t AuEq (1.1 g/t Au, 0.1% Sb)
from 320.4 m including 94.5 m @ 2.3 g/t AuEq (1.5 g/t Au, 0.4% Sb) from 419.1 m. Selected
highlights include (Figures 1 and 2).
o 11.9 m @ 5.3 g/t AuEq (4.7 g/t Au, 0.4% Sb) from 357.7 m, including:
0.2 m @ 54.7 g/t AuEq (44.2 g/t Au, 5.6% Sb) from 358.3 m
3.8 m @ 10.7 g/t AuEq (9.8 g/t Au, 0.5% Sb) from 359.8 m
o 12.6 m @ 8.0 g/t AuEq (5.8 g/t Au, 1.2% Sb) from 419.1 m, including:
1.1 m @ 7.4 g/t AuEq (5.4 g/t Au, 1.0% Sb) from 420.7 m
1.5 m @ 8.5 g/t AuEq (7.7 g/t Au, 0.4% Sb) from 425.7 m
0.9 m @ 75.8 g/t AuEq (56.2 g/t Au, 10.4% Sb) from 429.7 m
o 8.7 m @ 4.6 g/t AuEq (2.3 g/t Au, 1.3% Sb) from 498.8 m, including:
0.2 m @ 25.0 g/t AuEq (20.9 g/t Au, 2.2% Sb) from 498.8 m
1.2 m @ 17.1 g/t AuEq (7.6 g/t Au, 5.0% Sb) from 500.7 m
1.1 m @ 5.7 g/t AuEq (2.3 g/t Au, 1.8% Sb) from 505.3 m
• SDDSC130 remains open in an up and down dip sense and is the first hole of several east to west
trending holes (SDDSC132, 138, 141) to test beneath the Golden Dyke mine area. Nineteen holes are
currently being processed and analyzed with an additional five holes in progress.
• Mawson owns 96,590,910 shares of SXG (48.7%), valuing its stake at A$252.1 million (C$229.6 million)
based on SXG’s closing price on September 4, 2024 AEST.
Michael Hudson, Mawson Interim CEO and Executive Chairman, states: "Game on! The scale of the
Sunday Creek gold-antimony system continues to grow impressively. This new discovery is located 260 m
and 600 m west respectively of the Rising Sun and Apollo mineralized bodies. The expanding Sunday Creek
system coupled with the 60 km of diamond drilling planned over the next year means we are well on our
way to meet our aim to double the size of the Sunday Creek exploration target. Golden Dyke now joins Rising
Sun and Apollo as the third high-grade mineralized domain in this exciting project.
“Our team’s systematic drill approach led us to the new discovery, after we targeted the main dyke breccia
host structure (the “rails” of the ladder) by N-S drilling, as previously reported in drillholes SDDSC125-126.
Quickly, we were then able to drill SD DSC130, the first drill hole in an E -W orientation beneath the historic
Golden Dyke mine, that intersected seven high-grade vein sets (the “rungs” of the ladder) at a high angle,
over 230 m down hole interval (135 m ETW).
“The mineralization intersected in SDDSC130 remains open both up and down dip, as well as 500 m to the
west towards the historic Christina mine where we have five drill holes pending results. Three additional E -
W holes (SDDSC132, 138, 141 – Figures 1 and 2) have been completed, or in progress below Golden Dyke,
with results pending. Given this discovery, the Company has already planned a significant number of further
holes under Golden Dyke.”
Drill Hole Discussion
SDDSC130 is the first hole at Golden Dyke to drill parallel to and within the dyke/breccia host structure (the
ladder “rails”) and at a high angle to mineralized veins (the ladder “rungs”). The hole was successful and
overall intercepted eight high-grade vein sets. Beneath the historic Golden Dyke mine, seven high-
grade vein sets were intersected over 230 m down hole interval (135 m ETW). The hole included
ten occurrences of visible gold, nine assayed intervals of > 20 g/t Au (up to 124 g/t Au) and ten
assayed intervals of > 5% Sb (up to 31.5% Sb).
Broad downhole intercepts (no lower cut) included 214.4 m @ 1.3 g/t AuEq (1.1 g/t Au, 0.1% Sb) from
320.4 m including 94.5 m @ 2.3 g/t AuEq (1.5 g/t Au, 0.4% Sb) from 419.1 m.
The hole provided a 100 m down dip extension to three existing vein sets, infill information for three vein
sets in addition to two new vein sets (Figures 2 and 3). This drill hole displayed similarities in mineralization
style to that of analogous holes in the upper portion of Rising Sun, demonstrating Golden Dyke is the third
known significant mineralized body on the project. Further drilling in a similar orientation (parallel to
the ladder ‘rails’ – SDDSC132, 138, 141) (Figures 2 and 3) will continue to provide information about the size
and extent of mineralized shapes at depth.
This hole occurs in the geological upper portion of the mineral ized system, indicated by the presence of
brittle structures, open space breccias and mineral ized veins, with abundant massive stibnite occurring in
quartz-carbonate veins. While the grade tenor of SDDSC130 is considered significant, analogues at Rising
Sun and Apollo have shown that the tenor of gold mineralization is likely to increase with depth. SDDSC130
also provided an exceptional example of continuity and width of mineralized structures at Sunday Creek, with
11.9 m @ 5.3 g/t AuEq (4.7 g/t Au, 0.4% Sb) from 357.7 m occurring 82 m down plunge of SDDSC049 (9.6
m @ 14.1 g/t AuEq (9.2 g/t Au, 2.6% Sb) – November 8, 2022) and being interpreted as a continuous vein
set. Extended highlights include:
o 0.7 m @ 49.7 g/t AuEq (49.7 g/t Au, 0.0% Sb) from 133.4 m
o 3.1 m @ 4.7 g/t AuEq (1.3 g/t Au, 1.8% Sb) from 329.3 m, including:
1.3 m @ 8.8 g/t AuEq (2.1 g/t Au, 3.6% Sb) from 329.3 m
o 3.7 m @ 0.7 g/t AuEq (0.6 g/t Au, 0.1% Sb) from 334.3 m
o 1.3 m @ 2.5 g/t AuEq (0.9 g/t Au, 0.9% Sb) from 342.5 m
o 11.9 m @ 5.3 g/t AuEq (4.7 g/t Au, 0.4% Sb) from 357.7 m, including:
0.2 m @ 54.7 g/t AuEq (44.2 g/t Au, 5.6% Sb) from 358.3 m
3.8 m @ 10.7 g/t AuEq (9.8 g/t Au, 0.5% Sb) from 359.8 m
o 2.1 m @ 2.1 g/t AuEq (1.6 g/t Au, 0.3% Sb) from 372.0 m
o 1.9 m @ 2.2 g/t AuEq (1.6 g/t Au, 0.3% Sb) from 377.0 m, including:
0.3 m @ 8.4 g/t AuEq (8.3 g/t Au, 0.1% Sb) from 378.7 m
o 4.3 m @ 1.3 g/t AuEq (1.1 g/t Au, 0.1% Sb) from 387.6 m
o 1.3 m @ 5.8 g/t AuEq (2.1 g/t Au, 2.0% Sb) from 399.2 m
o 12.6 m @ 8.0 g/t AuEq (5.8 g/t Au, 1.2% Sb) from 419.1 m, including:
1.1 m @ 7.4 g/t AuEq (5.4 g/t Au, 1.0% Sb) from 420.7 m
1.5 m @ 8.5 g/t AuEq (7.7 g/t Au, 0.4% Sb) from 425.7 m
0.9 m @ 75.8 g/t AuEq (56.2 g/t Au, 10.4% Sb) from 429.7 m
o 0.4 m @ 21.8 g/t AuEq (13.0 g/t Au, 4.7% Sb) from 446.2 m
o 1.1 m @ 2.2 g/t AuEq (2.1 g/t Au, 0.0% Sb) from 461.3 m
o 5.8 m @ 5.1 g/t AuEq (1.9 g/t Au, 1.7% Sb) from 479.2 m, including:
0.1 m @ 20.0 g/t AuEq (2.3 g/t Au, 9.4% Sb) from 479.2 m
0.2 m @ 26.9 g/t AuEq (17.3 g/t Au, 5.1% Sb) from 480.8 m
0.7 m @ 23.2 g/t AuEq (4.1 g/t Au, 10.2% Sb) from 484.2 m
o 8.7 m @ 4.6 g/t AuEq (2.3 g/t Au, 1.3% Sb) from 498.8 m, including:
0.2 m @ 25.0 g/t AuEq (20.9 g/t Au, 2.2% Sb) from 498.8 m
1.2 m @ 17.1 g/t AuEq (7.6 g/t Au, 5.0% Sb) from 500.7 m
1.1 m @ 5.7 g/t AuEq (2.3 g/t Au, 1.8% Sb) from 505.3 m
o 1.0 m @ 19.8 g/t AuEq (19.1 g/t Au, 0.4% Sb) from 512.6 m, including:
0.3 m @ 65.9 g/t AuEq (65.2 g/t Au, 0.4% Sb) from 513.3 m
o 3.1 m @ 0.8 g/t AuEq (0.7 g/t Au, 0.1% Sb) from 530.3 m
Pending Results and Update
SDDSC130 is the first hole of several east to west trending holes (SDDSC132, 138, 141) in a program to
further test and understand the breadth of mineral ization at Golden Dyke by utilising structural controls
provided by the previously announced drill holes SDDSC125 and SDDSC126 (August 27, 2024).
Nineteen holes (SDDSC123- 124, 127-128, 131-140, 137W1, 140, 050W1, 050W2, 092W1) are currently
being processed and analyzed, with five holes (SDDSC129, 137W2, 141, 143, 092W2) in progress (Figure 1
and Figure 2).
Exploration Target
On January 23, 2024, SXG announced the maiden gold and antimony Exploration Target at its flagship
100%-owned Sunday Creek Project in Victoria, Australia. The Exploration Target ranges reported are shown
in Table 1. Notably, the Exploration Target was constrained to the current drill footprint at Apollo and Rising
Sun as they contain su fficient drilling to determine continuity and infer grade ranges. This represents
approximately one third to one half the strike of the main drill area and significant potential exists
to increase the size of the exploration target with high grade drill results drilled for up to 450 m beyond
the Exploration Target area. Drilling since January has significantly expanded the footprint of mineralization
beyond the bounds of the exploration target area , especially including SDDSC130 announced in this press
release (Figure 2).
Table 1. Sunday Creek Exploration Target for Apollo and Rising Sun at the Sunday Creek Project
Range Tonnes (Mt) AuEq g/t* Au g/t Sb % Au Eq (Moz) Au (Moz) Sb (kt)
Lower Case 4.4 7.2 5.3 1.2 1.0 0.74 53.5
Upper Case 5.1 9.7 7.8 1.2 1.6 1.28 62.8
The potential quantity and grade of the Exploration Target is conceptual in nature and therefore is an
approximation. There has been insufficient exploration to estimate a Mineral Resource and it is uncertain if
further exploration will result in the estimation of a Mineral Resource. The Exploration Target has been
prepared and reported in accordance with the 2012 edition of the JORC Code.
Further Information
Further discussion and analysis of the Sunday Creek project by Southern Cross Gold is available on the SXG
website at www.southerncrossgold.com.au.
No upper gold grade cut is applied in the averaging and intervals are reported as drill thickness. During future
Mineral Resource studies, the requirement for assay top cutting will be assessed.
Figures 1 to 5 show project location, plan and longitudinal views of drill results reported here and Tables 2
to 4 provide collar and assay data. The true thickness of the mineral ized intervals reported individually as
estimated true widths (“ETW”), otherwise they are interpreted to be approximately 40% to 70% of the
sampled thickness for other reported holes. Lower grades were cut at 1.0 g/t AuEq lower cutoff over a
maximum width of 2 m with higher grades cut at 5.0 g/t AuEq lower cutoff over a maximum of 1 m width
unless specified.
Critical Metal Epizonal Gold-Antimony Deposits
Sunday Creek is an epizonal gold-antimony deposit formed in the late Devonian (like Fosterville, Costerfield
and Redcastle), 60 million years later than mesozonal gold systems formed in Victoria (for example Ballarat
and Bendigo). Epizonal deposits are a form of orogenic gold deposit classified according to their depth of
formation: epizonal (<6 km), mesozonal (6-12 km) and hypozonal (>12 km).
Epizonal deposits in Victoria often have associated high levels of the critical metal, antimony, and Sunday
Creek is no exception. China claims a 56 per cent share of global mined supplies of antimony, according to
a 2023 European Union study. Antimony features highly on the critical minerals lists of many countries
including Australia, the United States of America, Canada, Japan and the European Union. Australia ranks
seventh for antimony production despite all production coming from a single mine at Costerfield in Victoria,
located nearby to all SXG projects. Antimony alloys with lead and tin which results in improved properties for
solders, munitions, bearings and batteries. Antimony is a prominent additive for halogen -containing flame
retardants. Adequate supplies of antimony are critical to the world's energy transition, and to the high-tech
industry, especially the semi -conductor and defence sectors where it is a critical additive to primers in
munitions.
In August 2024, the Chinese government announced it will place export limits on antimony and antimony
products. This will put pressure on Western defence supply chains and negatively affect the supply of the
metal and push up pricing given China’s dominance of the supply of the metal in the global markets. This is
positive for SXG as we are likely to have one of the very few large and high-quality projects of antimony in
the western world that can feed western demand into the future.
Antimony represents approximately 20% in situ recoverable value of Sunday Creek at an AuEq of 1.88.
Technical Background and Qualified Person
The Qualified Person, Michael Hudson, Executive Chairman and a director of Mawson Gold, and a Fellow of
the Australasian Institute of Mining and Metallurgy, has reviewed, verified and approved the technical
contents of this release.
Analytical samples are transported to the Bendigo facility of On Site Laboratory Services (“On Site”) which
operates under both an ISO 9001 and NATA quality systems. Samples were prepared and analyzed for gold
using the fire assay technique (PE01S method; 25 gram charge), followed by measuring the gold in solution
with flame AAS equipment. Samples for multi-element analysis (BM011 and over-range methods as required)
use aqua regia digestion and ICP -MS analysis. The QA/QC program of Southern Cross Gold consi sts of the
systematic insertion of certified standards of known gold content, blanks within interpreted mineralized rock
and quarter core duplicates. In addition, On Site inserts blanks and standards into the analytical process.
MAW considers that both gold and antimony that are included in the gold equivalent calculation (“AuEq")
have reasonable potential to be recovered at Sunday Creek, given current geochemical understanding,
historic production statistics and geologically analogous mining operations. Historically, ore from Sunday
Creek was treated onsite or shipped to the Costerfield mine, located 54 km to the northwest of the project,
for processing during WW1. The Costerfield mine corridor, now owned by Mandalay Resources Ltd contains
two million ounces of equivalent gold (Mandalay Q3 2021 Results), and in 2020 was the sixth highest-grade
global underground mine and a top 5 global producer of antimony.
MAW considers that it is appropriate to adopt the same gold equivalent variables as Mandalay Resources Ltd
in its Mandalay Technical Report, 2024 dated March 28, 2024. The gold equivalence formula used by
Mandalay Resources was calculated using Costerfield’s 2023 production costs, using a gold price of US$1,900
per ounce, an antimony price of US$12,000 per tonne and 2023 total year metal recoveries of 94% for gold
and 89% for antimony, and is as follows:
𝐴𝐴𝐴𝐴𝐴𝐴𝐴𝐴 = 𝐴𝐴𝐴𝐴 (𝑔𝑔/𝑡𝑡) + 1.88 × 𝑆𝑆𝑆𝑆 (%).
Based on the latest Costerfield calculation and given the similar geological styles and historic toll treatment
of Sunday Creek mineralization at Costerfield, SXG considers that a 𝐴𝐴𝐴𝐴𝐴𝐴𝐴𝐴 = 𝐴𝐴𝐴𝐴 (𝑔𝑔/𝑡𝑡) + 1.88 × 𝑆𝑆𝑆𝑆 (%) is
appropriate to use for the initial exploration targeting of gold-antimony mineralization at Sunday Creek.
About Mawson Gold Limited (TSXV:MAW, FRANKFURT:MXR, OTCPINK:MWSNF)
Mawson Gold Limited has distinguished itself as a leading Nordic exploration company. Over the last decades, the team behind
Mawson has forged a long and successful record of discovering, financing, and advancing mineral projects in the Nordics and
Australia. Mawson holds the Skellefteå North gold discovery and a portfolio of historic uranium resources in Sweden. Mawson also
holds 49% of Southern Cross Gold Ltd. (ASX:SXG) which owns or controls two high-grade, historic epizonal goldfields in Victoria,
Australia, including the exciting Sunday Creek Au-Sb discovery.
About Southern Cross Gold Ltd (ASX:SXG)
Southern Cross Gold holds the 100%-owned Sunday Creek project in Victoria and Mt Isa project in Queensland, the Redcastle joint
venture in Victoria, Australia, and a strategic 6.7% holding in ASX-listed Nagambie Resources Limited (ASX:NAG) which grants SXG
a Right of First Refusal over a 3,300 square kilometer tenement package held by NAG in Victoria.
On behalf of the Board,
"Michael Hudson "
Michael Hudson , Interim CEO and Executive
Chairman
Further Information
www.mawsongold.com
1305 – 1090 West Georgia St., Vancouver, BC, V6E 3V7
Mariana Bermudez (Canada), Corporate Secretary
+1 (604) 685 9316 [email protected]
Forward-Looking Statement
This news release contains forward -looking statements or forward -looking information within the meaning of applicable securities
laws (collectively, "forward-looking statements"). All statements herein, other than statements of historical fact, are forward-looking
statements. Although Mawson believes that such statements are reasonable, it can give no assurance that such expectations wil l
prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate,
postulate, and similar expressions, or are those, which, by their nature, refer to future events. Mawson cautions investors t hat any
forward-looking statements are not guarantees of future results or performance, and that actual results m ay differ materially from
those in forward-looking statements as a result of various factors, including, Mawson’s expectations regarding its ownership interest
in Southern Cross Gold, capital and other costs varying significantly from estimates, changes in world metal markets, changes in
equity markets, the potential impact of epidemics, pandemics or other public health crises on the Company’s business, risks related
to negative publicity with respect to the Company or the mining industry in general; exploration potential being conceptual in nature,
there being insufficient exploration to define a mineral resource on the Australian-projects owned by SXG, and uncertainty if further
exploration will result in the determination of a mineral resource; planned drill programs and results varying from expectations, delays
in obtaining results, equipment failure, unexpected geological conditions, local community relations, dealings with non-governmental
organizations, delays in operations due to permit gran ts, environmental and safety risks, and other risks and uncertainties. Any
forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities
laws, Mawson disclaims any intent or obligation to update any forward -looking statement, whether as a result of new infor mation,
future events or results or otherwise.
ASX ANNOUNCEMENT
Figure 1: Sunday Creek plan view showing selected results from hole SDDSC130 reported here (blue highlighted box, black trace), with selected prior reported
drill holes and pending holes.
Figure 2: Sunday Creek longitudinal section across A-B in the plane of the dyke breccia/altered sediment host looking towards the north (striking 236 degrees)
showing mineralized veins sets. Showing hole SDDSC130 reported here (blue highlighted box, black trace), with selected intersections and prior reported drill
holes. The vertical extents of the vein sets are limited by proximity to drill hole pierce points. For location refer to Figure 1 and zoom of section C -D shown in
Figure 3.
Figure 3: Sunday Creek cropped longitudinal section across C-D in the plane of the dyke breccia/altered sediment host looking towards the north (striking 236
degrees) showing mineralized veins sets. Showing hole SDDSC130 reported here (blue highlighted box, black trace), with select ed intersections and prior
reported drill holes. For location refer to Figure 2.